ESGV vs. IQLT

Last updated Jun 16, 2026

ESGV (Vanguard ESG U.S. Stock ETF) and IQLT (iShares MSCI Intl Quality Factor ETF) are both exchange-traded funds - ESGV is a Large Cap Blend Equities fund tracking the FTSE US All Cap Choice Index, while IQLT is a Foreign Large Cap Equities fund tracking the MSCI World ex USA Sector Neutral Quality Index (Net). Both are passively managed. Over the past 5 years, ESGV returned 12.57%/yr vs 7.47%/yr for IQLT. A 0.78 correlation means they provide meaningful diversification when combined. ESGV charges 0.09%/yr vs 0.30%/yr for IQLT.

Performance

ESGV vs. IQLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard ESG U.S. Stock ETF (ESGV) and iShares MSCI Intl Quality Factor ETF (IQLT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with ESGV having a 10.76% return and IQLT slightly lower at 10.27%.

ESGV

• 1D: 2.01%
• 1M: 2.85%
• YTD: 10.76%
• 6M: 11.56%
• 1Y: 28.06%
• 3Y*: 21.07%
• 5Y*: 12.57%
• 10Y*: —

IQLT

• 1D: 0.42%
• 1M: 3.66%
• YTD: 10.27%
• 6M: 10.93%
• 1Y: 18.79%
• 3Y*: 13.94%
• 5Y*: 7.47%
• 10Y*: 10.04%

*Multi-year figures are annualized to reflect compound growth (CAGR)

ESGV vs. IQLT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
ESGV Vanguard ESG U.S. Stock ETF	10.76%	16.48%	24.69%	30.79%	-24.04%	26.55%	25.69%	33.36%	-14.45%
IQLT iShares MSCI Intl Quality Factor ETF	10.27%	25.42%	1.54%	18.73%	-15.22%	12.94%	12.48%	28.18%	-11.28%

Correlation

The correlation between ESGV and IQLT is 0.74, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.74
Correlation (3Y) Calculated over the trailing 3-year period	0.71
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (All Time) Calculated using the full available price history since Sep 20, 2018	0.78

The correlation between ESGV and IQLT has been stable across timeframes, ranging from 0.71 to 0.78 - a consistent structural relationship.

ESGV vs. IQLT - Sectors Allocation Comparison

Sectors	ESGV	IQLT
Technology	39.5%	11.8%
Communication Services	13.0%	3.2%
Financial Services	12.3%	24.9%
Consumer Cyclical	12.2%	8.2%
Healthcare	9.8%	9.2%
Industrials	4.5%	17.8%
Consumer Defensive	3.9%	6.4%
Real Estate	2.8%	1.5%
Basic Materials	1.9%	7.2%
Utilities	0.2%	3.7%
Energy	0.1%	5.6%

Return for Risk

ESGV vs. IQLT — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

ESGV

ESGV Risk / Return Rank: 64
ESGV Sharpe Ratio Rank: 69
ESGV Sortino Ratio Rank: 66
ESGV Omega Ratio Rank: 68
ESGV Calmar Ratio Rank: 54
ESGV Martin Ratio Rank: 63

IQLT

IQLT Risk / Return Rank: 40
IQLT Sharpe Ratio Rank: 39
IQLT Sortino Ratio Rank: 39
IQLT Omega Ratio Rank: 36
IQLT Calmar Ratio Rank: 40
IQLT Martin Ratio Rank: 46

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

ESGV vs. IQLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard ESG U.S. Stock ETF (ESGV) and iShares MSCI Intl Quality Factor ETF (IQLT). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	ESGV	IQLT	Difference
Sharpe ratio: Return per unit of total volatility	2.02	1.26	+0.76
Sortino ratio: Return per unit of downside risk	2.73	1.85	+0.87
Omega ratio: Gain probability vs. loss probability	1.36	1.22	+0.14
Calmar ratio: Return relative to maximum drawdown	2.43	1.82	+0.61
Martin ratio: Return relative to average drawdown	10.21	6.90	+3.31

ESGV vs. IQLT - Sharpe Ratio Comparison

The current ESGV Sharpe Ratio is 2.02, which is higher than the IQLT Sharpe Ratio of 1.26. The chart below compares the historical Sharpe Ratios of ESGV and IQLT, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

ESGV vs. IQLT - Drawdown Comparison

The maximum ESGV drawdown since its inception was -33.66%, roughly equal to the maximum IQLT drawdown of -32.21%. Use the drawdown chart below to compare losses from any high point for ESGV and IQLT.

Drawdown Indicators

	ESGV	IQLT	Difference
Max Drawdown Largest peak-to-trough decline	-33.66%	-32.21%	-1.45%
Max Drawdown (1Y) Largest decline over 1 year	-11.60%	-10.38%	-1.22%
Max Drawdown (3Y) Largest decline over 3 years	-20.41%	-13.18%	-7.23%
Max Drawdown (5Y) Largest decline over 5 years	-28.81%	-30.24%	+1.43%
Max Drawdown (10Y) Largest decline over 10 years	—	-32.21%	—
Current Drawdown Current decline from peak	-0.87%	0.00%	-0.87%
Average Drawdown Average peak-to-trough decline	-6.41%	-6.21%	-0.20%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.75%	2.73%	+0.02%

Volatility

ESGV vs. IQLT - Volatility Comparison

Vanguard ESG U.S. Stock ETF (ESGV) and iShares MSCI Intl Quality Factor ETF (IQLT) have volatilities of 5.34% and 5.39%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ESGV	IQLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.34%	5.39%	-0.05%
Volatility (6M) Calculated over the trailing 6-month period	11.13%	12.71%	-1.58%
Volatility (1Y) Calculated over the trailing 1-year period	13.99%	14.96%	-0.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.45%	16.56%	+1.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.60%	16.98%	+3.62%

ESGV vs. IQLT - Expense Ratio Comparison

ESGV has a 0.09% expense ratio, which is lower than IQLT's 0.30% expense ratio.

Dividends

ESGV vs. IQLT - Dividend Comparison

ESGV's dividend yield for the trailing twelve months is around 0.85%, less than IQLT's 3.65% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ESGV Vanguard ESG U.S. Stock ETF	0.85%	0.91%	1.04%	1.16%	1.42%	0.95%	1.11%	1.27%	0.28%	0.00%	0.00%	0.00%
IQLT iShares MSCI Intl Quality Factor ETF	3.65%	2.33%	2.87%	2.27%	3.14%	2.24%	1.61%	2.28%	2.72%	2.36%	2.91%	2.78%

Frequently Asked Questions

Can I hold both ESGV and IQLT in my portfolio?

ESGV and IQLT have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ESGV or IQLT?

IQLT has higher volatility (5.39%) compared to ESGV (5.34%). In terms of maximum drawdown, ESGV dropped -33.66% vs IQLT's -32.21%.

Which ETF is better, ESGV or IQLT?

On 5-year performance, ESGV leads with 12.57% vs 7.47% for IQLT. On fees, ESGV is cheaper at 0.09% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ESGV or IQLT?

Over the 5-year period, ESGV has performed better with a 12.57% return vs 7.47%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ESGV or IQLT?

ESGV is cheaper with a 0.09% expense ratio, compared with 0.30% for IQLT.

Which ETF pays a higher dividend yield, ESGV or IQLT?

IQLT has the higher dividend yield at 3.65%, compared with 0.85% for ESGV.

What is the main difference between ESGV and IQLT?

ESGV is categorized as Large Cap Blend Equities, while IQLT is Foreign Large Cap Equities. ESGV tracks FTSE US All Cap Choice Index, while IQLT tracks MSCI World ex USA Sector Neutral Quality Index (Net). They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.09% for ESGV and 0.30% for IQLT.

Which has better risk-adjusted returns?

ESGV currently has the higher Sharpe Ratio (2.02 vs 1.26), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.